Just a day before mini vacation, the Nifty is expected to go into a lull.
As discussed yesterday, there was caution on the bourses, which left the Nifty drift aimlessly within a very tight range of just 30 points. The Bulls maintained their momentum owing to the opening gap advantage. Today, the Nifty may open slightly subdued, but the lull is expected to continue, unless one of the sides shows some initiative.
1) The Elder Ray readings : Bull Power rises from +57 to +92 Bear Power reduces from +4 to +58, indicating that the Bulls are now in the lead and the Bears have given up all their gains. It must be noted however, that in a sideways market, the Bulls and the Bears switch sides very frequently, as has been witnessed in the past few weeks. For today, the Bulls need to cross 5390 to maintain their momentum, whereas the Bears need to breach 5280 to regain their lost ground.
2) The Nifty is now trading above its key EMAs and its key DMAs. This indicates that the Bulls are ruling the markets as of now.
3) The stochastics are in the neutral zone and are pointing upwards.
4) In the above chart, the volumes have been depleting in the last 4 sessions rise in the Nifty. Yesterday, in the tight ranged movement, the volumes have increased a bit, which is indicating some short build up, which is favoring the Bears. The MACD is rising, but is still negative. The ADX is indicating a trend less market with advantage to the Bulls. The Parabolic SAR is now giving out a Buy signal. However, it must be noted, that the SAR gives flip flops in a sideways market. As also one can see in the ADX where the green and the red lines have crossed each other several times within past few weeks. A perfect reflection of a sideways market.
5) Considering the above, our trading plan for the day is as under.
a) Above 5385, we will open fresh long positions with a SL of 5355 and a target of 5435. We will add to these long positions above 5455.
b) Below 5340, we will open fresh short positions with a SL of 5370 and a target of 5285. We will add to these short positions below 5250.
c) Around 5440, we will be extremely bearish.
d) Around 5280, we will be extremely bullish.
Happy Trading !!!
For cash market recommendations see our Daily Pre Market calls on NSE
As discussed yesterday, there was caution on the bourses, which left the Nifty drift aimlessly within a very tight range of just 30 points. The Bulls maintained their momentum owing to the opening gap advantage. Today, the Nifty may open slightly subdued, but the lull is expected to continue, unless one of the sides shows some initiative.
1) The Elder Ray readings : Bull Power rises from +57 to +92 Bear Power reduces from +4 to +58, indicating that the Bulls are now in the lead and the Bears have given up all their gains. It must be noted however, that in a sideways market, the Bulls and the Bears switch sides very frequently, as has been witnessed in the past few weeks. For today, the Bulls need to cross 5390 to maintain their momentum, whereas the Bears need to breach 5280 to regain their lost ground.
2) The Nifty is now trading above its key EMAs and its key DMAs. This indicates that the Bulls are ruling the markets as of now.
3) The stochastics are in the neutral zone and are pointing upwards.
4) In the above chart, the volumes have been depleting in the last 4 sessions rise in the Nifty. Yesterday, in the tight ranged movement, the volumes have increased a bit, which is indicating some short build up, which is favoring the Bears. The MACD is rising, but is still negative. The ADX is indicating a trend less market with advantage to the Bulls. The Parabolic SAR is now giving out a Buy signal. However, it must be noted, that the SAR gives flip flops in a sideways market. As also one can see in the ADX where the green and the red lines have crossed each other several times within past few weeks. A perfect reflection of a sideways market.
5) Considering the above, our trading plan for the day is as under.
a) Above 5385, we will open fresh long positions with a SL of 5355 and a target of 5435. We will add to these long positions above 5455.
b) Below 5340, we will open fresh short positions with a SL of 5370 and a target of 5285. We will add to these short positions below 5250.
c) Around 5440, we will be extremely bearish.
d) Around 5280, we will be extremely bullish.
Happy Trading !!!
For cash market recommendations see our Daily Pre Market calls on NSE
These levels are for Future or SPOT ??
ReplyDeleteLevels given here are always for spot.
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